W Capital ,the Dubai-based real estate brokerage, identified 15 main incentives for investors of different financial capacities to invest in the Dubai real estate sector.
Walid Al Zarooni, “W Capital” CEO , said that Dubai has become a global hub, a preferred destination for living, working, entrepreneurship and tourism, and a sought-after destination for many people from all over the world, looking for investment and residence, in light of the urban shift that Dubai achieved in the past two decades.
Al Zarooni noted that there are 15 important incentives making Dubai a safe haven for living and investment, which boosted the market performance resulting in record sales month after month, the value of which has now exceeded a billion and a half dirhams per day on average.
1-The first incentive is regulatory legislations
Al Zarooni said that Dubai provides a legislative environment that takes into account the rights of all parties, and maintains the interests of citizens and foreigners alike without discrimination ensured by the speed of litigation.
This increases investors’ confidence and motivates them to reside on a permanent basis. Besides, Dubai apply the best practices and rules within the real estate market, which regulate real estate ownership, off-plan sales, or leases.
2- Infrastructure
Al Zarooni pointed out that Dubai has the best quality infrastructure in all sectors, added the emirate’s keenness to harness the best-of-the art technologies and constantly upgrading the infrastructure projects to keep pace with the development and growth of Dubai’s economy.
3- Entertainment initiatives
“The world comes to Dubai throughout the year attracted by entertainment activities that impress everyone, in addition to the attractive tourist attractions within and around Dubai,” Al Zarooni said.
4- The investment environment
“W Capital” CEO pointed out that Dubai provides an investment climate characterized by maturity and continuous development, to keep pace with the requirements of investors, and boost confidence in the market prospects, in addition to the ease of launching business and the high returns on investments.
5- Diversification of real estate products
Al Zarooni stated that the real estate sector in Dubai provides multiple options for investors of all kinds, with various real estate products, starting from small-sized studios for sale or rent, up to luxury villas valued at hundreds of millions.
6- Dubai’s economy strong performance
“No doubt, the economic recovery is one of the most important indicators that investors focus on, as it reflects the countless opportunities available within the economy,” Al Zarooni said.” The Dubai economy is achieving positive growth rates, benefiting from the improvement in the tourism, hospitality and real estate sectors,” he added.
7- Ambitious government initiatives
Walid Al Zarooni stated that the ambitious government initiatives, which make the impossible a tangible reality, offer one of the main incentives to make Dubai one of the most prominent global investment destinations. Dubai’s government success is not only reflected in the real estate sector, but their impact extends to the business, tourism and hospitality sectors and entertainment.
He pointed out that the Dubai Economic Agenda “D33”, as well as the Dubai Urban Plan 2040, which aims to double the population of Dubai and increase the urban area, are among the initiatives that will enhance real estate activity in the emirate over the next two decades.
8- Regional status
Dubai is developing a regional position so as to be one of the best hubs in sectors such as investment, living, security and safety, as well as high-quality infrastructure. This include hosting the largest number of regional headquarters of international companies.
9- Sustainable real estate demand
Al Zarooni noted that the strong and sustainable real estate demand maintains continuous momentum. This makes an additional incentive for foreign investors to invest in Dubai, with the sector boom recording unprecedented levels of sales and returns on investments at the same time.
He added that the strong demand for Dubai real estate, including people planning to move to the emirate, helped the scarcity of supply, in addition to the projects that are being implemented constantly to keep up with the demand from investors, which contributed to providing unlimited number of important investment opportunities.
10- Residency facilities
The head of the “W Capital” real estate brokerage confirmed that the Emirate of Dubai has put forward in the global citizenship market through the facilitating residency rules, attracting a large number of investors and foreigners aspiring for an alternative homeland and a safe place to live and work, which is reflected in the recovery of the real estate sector.
He added that the residency facilities are a strong incentive that investors are looking for, as this will encourage them to inject long-term investments, with golden residency grants of up to 10 years, with the possibility of extending them for a longer period.
11- High returns on investment
Walid Al Zarooni said that Dubai has outperformed many major global real estate markets in terms of return on investments, especially in residential real estate units (apartments and villas), which recorded a jump on an annual basis by 12.5% during the first quarter of 2023, supported by the strong demand on rents in different areas .
13- Low tax ratio
Al Zarooni indicated that one of the main factors that motivate investors to invest and buy real estate units in Dubai is the low tax rate compared to other major markets.
He noted the importance of zero real estate tax, as Dubai does not impose any tax on the purchase of residential real estate. Exempting real estate transactions from taxes is an encouraging factor that makes the emirate a preferred choice for real estate investment around the world, especially when the real estate tax burden is compared to other countries, such as Britain at 2.5%. , France 1.7%, and Greece 1.5%, according to the International Tax Competitiveness Index.
13-Geographical location
Walid Al Zarooni indicated that Dubai’s location is a stimulating factor attracting the majority of the region’s residents, in addition to being a favorite entertainment destination for Arabs and Gulf nationals.
14- Safety and security
The CEO pointed out that Dubai is one of the safest cities around the world, and this is one of the most important incentives that investors look for when planning for a new business investment.
15- Ease of making deals
Al Zarooni stated that the momentum within the real estate market facilitates buying and selling operations, and enhances capital growth at a faster rate when compared to other markets.
About “W Capital”:
“W Capital Real Estate Brokerage” was established in 2007 in the United Arab Emirates, specializing in real estate development, buying, selling, renting as well as consulting services for real estate companies.
Since its inception, the company has sold over AED 200 million of properties to major developers.
About Walid Al-Zarooni:
Walid Al-Zarooni is the founder and Chairman of W Capital Real Estate Brokerage. A certified real estate expert from the Dubai Real Estate Regulatory Agency “RERA”, he is the author of “Secrets of the Smart Real Estate Investor”.
Al-Zarooni is one of the first experts to harness social media to raise the public awareness about real estate. He provides almost free advice on a daily basis, as well as latest news and updated information through videos and posts on social media platforms such as “Instagram” , “Snapchat” ,and Twitter, on which he is very active
